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Implementation of the project will occur in these regions:

Latest news updates from Gießen, combined with archived articles that span a three-year timespan.

Implementation to Occur in These Designated Regions:
Implementation to Occur in These Designated Regions:

Implementation of the project will occur in these regions:

Giessen Officially Classified as a Region with a Tense Housing Market

The city of Giessen, in Hesse, Germany, has been officially classified as a region with a tense housing market by the Hesse state government. This classification, which takes effect in November, will bring a series of changes aimed at addressing the ongoing housing crisis in the city.

Giessen continues to experience a large demand for housing due to its ongoing growth, while new construction cannot meet this demand. The classification will allow the city to implement a rent cap for newly concluded rental agreements, limiting rent increases to no more than 10% above local comparative rent.

The basis for the reassessment is the current update of the Gutachten by the IWU Institute. However, the updated Gutachten is not yet published and will only be made publicly accessible after official acceptance by the state government.

The social department head of Giessen, Arman, believes that the classification will allow for the stabilization of rents at their current level in the best case. He also emphasizes that the classification is aimed at preventing rental apartments from being removed from the market and further exacerbating the situation for tenants.

The classification will also implement a conversion ban, making it necessary for private landlords to obtain approval from authorities before converting rental apartments into owner-occupied apartments. Conversions of rental apartments into owner-occupied apartments will become more difficult in Giessen once the classification takes effect.

The city of Giessen will have more opportunities to combat housing vacancy and facilitate building law requirements to promote housing construction once the classification takes effect. The city can apply building law instruments within the framework of the new classification, granting exemptions or waivers from building law requirements to promote housing construction and create additional housing.

The empty housing law of the state of Hesse will enable authorities to take action against apartments that have been empty for a long time, with administrative measures being taken to make idle housing available again.

It's worth noting that exceptions to the rent cap can be made if an apartment has been comprehensively modernized. The current tenant protection ordinance, in which Giessen is not yet listed, expires on November 25, 2025.

Arman also mentioned that the housing market in Giessen is experiencing increased rental burden for households, which is likely to be recognized in the assessment. However, he did not provide information on which cities in Hesse he identifies as regions with exciting housing markets based on the current evaluation by the IWesse Institute.

The state government plans to introduce a new ordinance before the current one expires. The classification is provisional and pending two pending cabinet decisions by the state government. The city's housing policy will see a closer alignment of political will and legal possibilities with this classification. The social department head of Giessen believes that the classification will allow for more socially just housing policies, targeting the housing shortage with more effective measures.

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